BNP Paribas Asset Management released the new version of its Global Sustainability Strategy (GSS) updating the strategic approaches of the organization. The report lays out the progress made since 2019 and the plans for the next two years.
“At BNP Paribas Asset Management, we are aiming to deliver positive real-world outcomes around sustainability alongside attractive financial returns. Supporting the transition to a sustainable economy is a core objective and guides our strategy, culture, structure, products, and investment processes, as well as our relationship with clients and the companies and markets we invest in,” the release noted.
In 2021, BNP launched a comprehensive Biodiversity Roadmap and supported the launch of the Taskforce on Nature-related Financial Disclosures (TNFD). They also strengthened their support of the Paris Agreement by joining the Net Zero Asset Managers (NZAM) initiative and published the Net Zero Roadmap in 2022, covering 10 commitments spanning investments, stewardship, and operations.
The company has identified six strategic priorities to help deliver long-term, sustainable returns for clients.
- Produce science-led, transparent research
- Maintain a bold stewardship approach
- Mobilise capital for investment solutions that embed sustainability and meet clients’ long-term needs
- Continuing to invest in a sustainability culture
- Drive sustainability in emerging markets
- Achieve tangible impact
The company also detailed its renewed focus on six pillars of the sustainability approach
1: Forward-looking perspective – the ‘3Es’ – Energy transition, healthy Ecosystems, and Greater Equality in our societies
2: Responsible business conduct: BNP Paribas Asset Management expects the investee companies to meet fundamental human and labor rights obligations and also align with protecting the environment and ensuring anti-corruption safeguards.
3: ESG integration: The company will analyze investments using ESG criteria by applying its ESG Integration Principles and Guidelines.
4: Stewardship: “Bold engagement with issuers can enhance investment processes. It enables us to manage long-term risk for clients better. Accordingly, we collaborate closely with peers and organizations, for example by participating in the Climate Action 100+ and Nature Action 100 initiatives,” the report noted.
5: Integrating sustainability into our product range: The company will apply frameworks and methodologies to integrate sustainability into its product range.
6: ‘Walking the Talk’: The company has integrated a Corporate Social Responsibility (CSR) strategy into its sustainability approach.
The CSR strategy has four main strands:
- Decreasing operational CO2 emissions
- Reducing waste to landfill
- Creating a culture of diversity, equity and inclusion, and belonging
- Focusing community initiatives on youth inclusion